H-1B visa updates: What employers need to know

For more than 30 years, the H-1B visa has been a key route for U.S. companies to hire highly skilled foreign workers in specialty occupations.

The nonimmigrant visa has supported industries like technology, engineering, healthcare and many more by driving innovation and helping employers address persistent skill gaps.

On September 19, 2025, a new presidential proclamation significantly altered the program, introducing new financial and administrative barriers for employers seeking to hire H-1B workers.

Those changes raise important questions for businesses who already, or are planning to, take advantage of the H-1B program, including:

• How will they affect pending applications?
• What costs should employers plan for?
• What alternatives exist for accessing global talent?
  
  

While the outlook for the H-1B program may seem uncertain, companies don’t have to pause their global hiring. New pathways for employing talent abroad make it possible to keep working with highly skilled people without visa hurdles or costly relocations.

What is changing with the H-1B visa?

Under the proclamation Restriction on Entry of Certain Nonimmigrant Workers, effective September 21, 2025:

• New travel restrictions: New H-1B visa holders cannot enter the U.S. unless their employer pays a $100,000 visa fee per employee or the Secretary of Homeland Security grants a national interest exemption.
• Pending applications: According to the proclamation, foreign nationals who currently have a pending or approved H-1B petition or a valid H-1B visa are exempt. They will be able to enter the U.S. from abroad on or after September 21, 2025, provided they possess a valid, approved H-1B petition and H-1B visa (if required). Implementation details are still pending, and employers should expect potential delays as government agencies roll out the proclamation and provide further guidance.
• Visa restrictions: The Secretary of State has been directed to prevent individuals with approved H-1B petitions from obtaining visitor visas as a way to bypass the new fee requirement. How this will be enforced is still unclear. This measure applies only to petitions filed on or after September 21, 2025.
• Potential reforms: DHS and the Department of Labor have been directed to reform the lottery system and raise prevailing wage requirements.
  
  

It is important to note that current H-1B visa holders and renewals are not affected by these changes. They can continue to work and re-enter the U.S. without paying the fee.

How these changes affect employers

These updates carry significant implications for U.S. employers:

• Higher costs: In many cases, employers may face a $100,000 condition per new hire which makes sponsoring new H-1B employees dramatically more expensive.
• Administrative uncertainty: Employers lack clarity on how the new fees or exceptions will work, creating delays and complexity.
• Talent shortages: Businesses that rely heavily on skilled foreign workers may face immediate gaps in hiring pipelines.
• Competitive risk: With added costs and complexity, U.S. companies risk losing ground to markets that make it easier to hire international talent.

What employers and workers can do

The proclamation creates immediate challenges for anyone relying on the H-1B visa program to recruit talent. While legal challenges may emerge, companies and employees should begin adapting their hiring strategies now.

For H-1B workers:

• Current visa holders are unaffected and can continue employment as normal.
• New applicants should seek expert immigration guidance before moving forward under the new rules.

For employers:

• Review pending and planned H-1B applications to assess exposure. Decide whether to pursue exemptions or pause applications.
• Explore the possibility of a national national interest exemption where applicable.
• Monitor updates from USCIS, U.S. Department of State, and the White House.
• Reevaluate hiring strategies to reduce reliance on U.S. sponsorships. Consider alternative solutions, such as hiring international employees directly in their home countries with Remote.

How Remote can help

The new restrictions and evolving visa rules can feel daunting, but they don’t have to slow down your global growth.

The employer of record (EOR) model provides companies with a proven way to build teams of global talent without the cost or complexity of visa sponsorship. Remote’s EOR provides everything you need to employ workers quickly and compliantly, without the costs involved in relocation, setting up entities, or navigating complex payroll systems.

Remote already helps thousands of U.S companies attract top talent around the globe, and offers a simple, efficient, and trustworthy way to engage global talent without the complexity.

With Remote, you can:

• Confidently access top talent globally without relocation or immigration hurdles.
• Rely on compliant employment in each worker’s home country, backed by local expertise.
• Grow and scale internationally while staying resilient amid shifting U.S. immigration rules.
  
  

Our EOR platform makes it simple to onboard, pay, and manage international talent at scale.

Book a demo with Remote to learn how you can grow your team globally without depending on H-1B sponsorship.